Select and Hi-lite the most correct answer for the multiple choice questions. 1.10 .40 Use the following information to answer questions 1-5. Cole Laboratories makes and sells a lawn fertilizer called Eastgre. The company has developed standard costs for one bag of Eastgro as follows: Standard Standard Quantity Cost per Bag Direct Materials 20 kilograms $8.00 Direct Labour 0.1 hours Variable Manufacturing Overhead 0.1 hours The company had no beginning inventories of any kind on January 1. Variable manufacturing overhead is applied to production on the basis of direct labour hours. The results of the company's operations during January are as follows: Production of Eastero 4,000 bags Direct Materials Purchased 85,000 kilograms at a cost of $32,300 Direct Labour Used 390 hours at a cost of $4,875 Variable Manufacturing Overhead Incurred $1,475 Inventory of Direct Materials on January 31 3,000 kilograms 1. What was the materials price variance for January? A) $1,300 unfavourable. B) $1,640 favourable C) $1,640 unfavourable. D) $1,700 favourabls 2. What was the materials quantity variance for January? A) 5800 unfavourable B) $300 unfavourable C) $750 favourable D) $300 favourable 3. What was the labour rate variance for January? A) $475 favourable B S475 unfavourable C) $585 unfavourable, D 5585 favourable 4. What was the labour efficiency variance for January? A) $110 favouable B) $130 unfavorable C) $350 unfavourable. D) $475 favourable. 5. What was the total variance for variable overhead for January? A) $40 favourable B) $85 favourable C) $100 unfavourable D) $125 favourable Use the following to answer questions 6: The Dexon Company makes and sells a single product, called a Mip, and employs a standard costing system. The following standards have been established for one unit of Mip Standard Quantity Standard Cost or Hours Per 1 finished Mir Direct Materials 6 board met $9.00 Direct Labour 0.8 hours $9.60 There were no inventories of any kind on August 1. During August, the following events occurred Purchased 15,000 board metres at the total cost of $24.000, Used 12,000 board metres to produce 2.100 Miss Used 1.700 hours of direct labout time at a total cost of $20,060. 6. To record the use of direct materials in production, the general ledger would include what entry to the Materials Quantity Variance account? A) 5900 credit B) $900 debit $3,600 credit D) $3,600 debit 7. Who is most responsible for the Material Quantity variance? (1 mark)